Estée Lauder (EL) rose 3.0% to close at $78.38 per share during the third week of December 2016. The stock’s weekly, monthly, and year-to-date (or YTD) price movements were 3.0%, 1.2%, and -9.7%, respectively, as of December 23.
EL is trading 0.73% above its 20-day moving average, 2.5% below its 50-day moving average, and 11.6% below its 200-day moving average.
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Latest news on Estée Lauder
On December 19, 2016, Estée Lauder completed its acquisition of Too Faced, a cosmetics brand. The acquisition will add makeup products to the company’s portfolio and help expand its consumer base.
Estée Lauder’s performance in fiscal 1Q17
Estée Lauder (EL) reported fiscal 1Q17 net sales of $2.9 billion, a YoY (year-over-year) rise of 1.1% compared to $2.8 billion in fiscal 1Q16. Sales of Fragrance and Hair Care products rose 7.0% and 1.5%, respectively, and sales of Skin Care products fell 0.63% YoY in fiscal 1Q17.
The company’s gross profit margin and operating margin narrowed 40 basis points and 140 basis points, respectively, YoY in fiscal 1Q17.
Its net income and EPS (earnings per share) fell to $294 million and $0.79, respectively, in fiscal 1Q17 compared to $309 million and $0.82, respectively, in fiscal 1Q16.
Estée Lauder’s cash and cash equivalents fell 27.4% YoY, and its inventory and promotional merchandise rose 2.5% YoY in fiscal 1Q17.
Estée Lauder (EL) has made the following projections for fiscal 2017:
- net sales growth of 6.0%–7.0%
- reported EPS of $3.20–$3.30
- charges associated with restructuring charges of $80.0 million–$100.0 million
- EPS before charges associated with restructuring activities of $3.38–$3.44
The company has made the following projections for fiscal 2Q17:
- net sales growth of 3.0%–4.0% and 5.0%–6.0% on a constant currency basis
- reported EPS of $1.03–$1.10
- restructuring charges of $30.0 million–$40.0 million
- EPS before charges associated with restructuring activities of $1.10–$1.15
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